Blue Shock Race
107 600 € (108%)
of 100 000 - 300 000 € goal funded
100 € minimum investment
Quick Pitch
We believe we have created a key to a new generation of go kart for the future. Being more powerful, eco-friendly, and more effective are just the physical properties of our products.
Our vision and the goal we are heading to are of the utmost importance – the most efficient racing platform on the planet from energy, ecology and business perspective.
Blue Shock Race describes 4 bullet points:
- One of the World’s fastest electric karts
- World’s First National Electric Kart Championship
- Orders from F1 pilots till World’s biggest shopping centers
- Market size 4,2 Billion Euro and growing
Problem & Solution
Problem: Severization of the requirements for CO2 emissions in the European Union (additional investments shall be made in ventilation and its maintenance).
Solution: Replacement of combustion engine go-karts with electric go-karts, a technology that does not produce CO2 emissions; lower operating costs; no need for additional investments in ventilation.
-------------------
Problem: Big investments in purchase of electric go-karts as additional 1 or even 2 racing lines with electric go-karts are required: one that has been charged and is ready for the race, the second and sometimes the third one that is being charged and prepared for the next race.
Solution: The Blue Shock Race (BSR) battery fast-replacement system reduces the upfront investments by up to 30%, ensures continuous operation of go-karts and higher efficiency of each go-kart.
-------------------
Problem: To ensure higher safety on indoor race tracks, there is a need for several race track supervisors who organise tournaments and contribute to safety during tournaments (address the problems on the race track); thus one of the highest cost items is employees and their salaries.
Solution: Thanks to electrical technology and BSR, in the near future go-kart halls will be equipped with fully automated race track system that solves the problems on the race track and ensures safety, thus reducing personnel costs and related tax costs. Automation of the system.
Product/Service Details
- Rapid swap-battery technology
- Unique body design (with possibility to personalize within the framework of the project)
- Adjusting power for each customer centrally
- No noise, no emissions and no vibration.
- One of the fastest karts in the world (from 2,2 sec 100km/h)
- Able to perform a full racing mode with one charge
- Rapid swap-battery technology
- Over a year tested in real world competitions – first national electric go-kart championship.
- Possibility to integrate into any premises (without additional investment)
- Lower start-up investment for realization of the project (till 30% less)
- Modular and automated track system
Business model
We use direct sales to the client approaching them with the final product and present it on the site, demonstrating all the strengths of the product and, as appropriate, improving the aspects important for the customer (power, charging times, track solutions, mileage distances and other topical issues). We pay attention to every customer's need and nuance, solving local or regional problems that big players do not do.
Revenues are generated by 4 main sources:
- Sports go-kart sales for racing teams and national championships
- Rental go kart trade for existing tracks (change from petrol to electric)
- Franchise sales (BSR track franchising from project till runing business).
- After-sales service (battery's, replacement of damaged components, etc).
Market
Electric go-karts will become the leading kart technology in the next 3-5 years, as the e-formula has already been in place for 3 years now, and the 2020 World Rallycross will take place with electric cars, and many other motor racing records are broken by electric vehicles, and the entire car industry is shifting towards electric cars in the next 10 years. It is driven by global ecological requirements and is able to provide technological solutions. Articles that prove it:
E-Formula FIA: https://e-racing365.com/formula-e/massa-electric-karting-very-important-for-future/
Electric karts in Youth Olympic games: https://www.fia.com/news/fia-and-ioc-align-bring-mobility-and-sport-olym...
Market growth drivers:
- Cheaper and more available technology for masses.
- Technology more suitable for urban places and indoors
- Global pushing to reduce CO2 in transports
- High end sports like e-formula, World RX electric rally, and others
- Electric car industry with flagship Tesla, Nissan, Renault and others
Traction & Accomplishments
The world’s first National Electric Kart Championship has been staged.
The company has been presented as the 2018 biggest achievement of Latvia at the International Transport Forum Summit held in Germany.
FIA president Joan Todt congratulates Latvia about electric kart Championship.
In 2015, the Investment and Development Agency of Latvia awarded the company with the Export and Innovation Award for the most innovative product.
The company has received the Golden Ratio award for the contribution to industrial design (design of a go-kart).
MOUs on totally over 300 go-karts have been signed in Canada and Europe within 3 months, and are currently being negotiated also in Dubai.
2 publications about the contribution to technology and science in Forbes Magazine.
The invitation of the USA government to attend the Global Entrepreneurship Summit held in San Francisco, the USA, in 2016.
Blue Shock Race face of ERC winter Rally Liepaja 2016 (2 weeks in Europsort TV)
Latvian National President congratulates Blue Shock Race about achivment and do testdrive.
21 rental kart test prototypes have been developed and all have been sold.
15 sports kart test prototypes have been developed and all have been sold.
3 go-kart halls have been established, 2 of which have been sold (one retained for tests).
How We’re Different
Blue Shock Race is a company with a very young team who is entirely sure that electric transport is already the transport of today, and our team is seeking solutions based directly on this technology without any compromise. We do not make transitions from internal combustion engines to electric engines; we develop new solutions from zero so that they reach the maximum result.
Our goal is not simply to develop an outstanding electric go-kart, but to develop sustainable transport and energy solutions using a go-kart as a business platform, and as a result in the future to develop solutions for production and storage of cheaper renewable energy as well as unique transport solutions on the basis of electric go-karts, including training with the use of an artificial intellect automatic pilot and data acquisition.
We address the future challenges today educating and adapting the society through the lens of motor transport and entertainment in order to enable it to use our solutions effectively with the aim of meeting the day-today needs.
Uses of Funds & Timeline
We have been able to reach a positive cash flow break-even point without any investments in marketing, and already now the interest in our products is expressed all over the world. To ensure fast manufacture of go-karts and their components, it is currently necessary to develop a small manufacturing facility where up to 70% of the BSR go-kart components and solutions are produced. To ensure safe and successful delivery of the product to the market, it is necessary to patent and license a number of solutions as well as to prepare other documentation for various market peculiarities.
The manufacturing is currently being prepared slowly, and we are planning to complete the stage 1 by March 2019 in order to be able to ensure higher (500+ karts per year) production capacity before the new season.
Further plans include the development of the BSR Franchise in Europe and all over the world that will be financed by operating revenue and additional investments, creating new cash flow sites based on our technologies.
More details: BSR_financial_forecast
BSR Racing Centre in Tallinn
Blue Shock Race is also planning to open a go-kart centre in one of the shopping centres in Tallinn. The track is planned to be the biggest indoor electric go-kart track in Estonia, offering the most powerful Blue Shock Race rental electric go-kart models, which are suitable for both children and adults. Blue Shock Race go-kart track includes also other activities, thus making a modern motorsport entertainment platform for all age groups.
Obligations to Investors, Profit Distribution
The founder and CEO of Blue Shock Race Artis Daugins offers to re-purchase the shares within 3‒5 years at the share price valid at that time, but no less than the purchase price. In this way, investors receive the guarantee from the company’s management that their investment will not reduce; on the contrary, the value of the investment may increase several-fold upon the implementation of the plan. If someone, nevertheless, is willing to remain a member of the company in the long-term, the member can generate revenue from the distribution of annual profit, but no sooner than in 3 years (during the first 3 years all profits are re-invested or invested in the development).
Investors from other regions of the world with experience in electric transport, motorsports, wholesale or entertainment industry have the opportunity to acquire exclusive distribution rights and earn additionally by selling the BSR products and services.
Added bonuses for investors
Investors that invest at least € 5'000 receive VIP invitation for free test drive with BSR fastest electric sports kart (max speed till 176km/h) pluss full BSR Racing Suit. Video here!
Investors that invest at least € 2'500 receive VIP invitation for free test drive with BSR fastest electric sports kart (max speed till 176km/h). Video here!
Investors that invest at least € 1'000 receive limited edition BSR investor jacket.
Investors that invest at least € 500 receive limited edition BSR investor t-shirt.
All investors will be added to the BSR VP list and receive invitations to various BSR events (championships, opening of new halls, BSR team events and other events). It's not just about investment it's about partnership for better future.
SPV Investment Model
Investment with Fundwise is made using the SPV (Special Purpose Vehicle) model. Investors first make an investment in an Estonian enterprise, and afterwards this enterprise obtains parts of a manufacturing enterprise based in Latvia. Interests of all Fundwise investors are represented by Fundwise and the elected Lead Investor, who actively supervises the enterprise based in Latvia and informs others.
Risks and Mitigation
Risks: The advent of a new, much superior technology and a limited approach to it demonstrated by the permanent market participants (battery technology, engine technology, etc.).
Solution: To proceed with continuous improvement of our technology based on the data obtained as well as to follow the results and tests at various laboratories all over the world, and to find opportunities to implement them in the BSR technologies.
-------------------
Risks: Aggressive strangling of the market by the existing big market players (exerting pressure on new market players and blocking them).
Solution: To continue demonstrating the technological superiority as the best result and the associated technique win in sport. To secure aggressive direct sales and solutions for each customer’s needs with long-term contracts. To develop a common market strategy with other market players whose products do not compete with the BSR product. To enter the market sections the existing players have not investigated yet or cover a very small share due to technological restrictions.
-------------------
Risks: Plagiarism of the product and service (replication and copying, development of new alternatives).
Solution: To focus on the customer service in the long-term. The development, improvement and enhancement of our franchise, thus creating solutions that are closed for other competitors. Strong product protection documentation, protection of patents and copyright all over the world.
Big thanks to our partners:
The investment campaign will be organized through an Estonian Special-Purpose Vehicle (SPV). The details of the investment proposal are below:
Estonian SPV: Blue Shock Race Invest OÜ
Lead investor: Aigars Zviedris, LinkedIn
Pre-money market value of Blue Shock Race SIA:
EUR 3 500 000
Share of Blue Shock Race SIA offered to SPV:
2.77% - 7.90%
Minimum investment offered to all investors:
EUR 100 000
Maximum investment offered to all investors:
EUR 300 000
Minimum investment per investor:
EUR 100
Maximum investment per investor:
EUR 300 000
TEAM
Artis Daugins
CEO & Founder
Education – Art and Industrial Design.He has 5 years of experience in marketing and advertising development. Over the last 6 years, he has devoted himself 120 % to solutions of electrotechnology and alternative technology, and their development, addressing the issue of global transport and energy. Through marketing strategies and understanding of human psychology in combination with technological solutions, it is possible to get strong public response and enthusiasm as it is presented in a comprehensible and exciting way.I believe in the impossible and am always ready to achieve more.
Ģirts Cēlājs
Co-Founder
Education – Financial Management.He has 6 years of experience in the entertainment industry and franchise management as well as 5 years of experience in production and trade of mineral fertilisers in the whole world; in addition, he is also involved in other businesses. He is an official representative of the Latvian Chamber of Commerce and Industry in the ECOWAS region. He is also a member of the Latvian Business Angel Network. Through different activities, each business he represents gained the status of one of the Latvian TOP 25 businesses which have the largest export capacity, thus several times receiving The Red Jackets award, and others. Pal, “Where is money?” is Girt’s top question.
Jānis Krastiņš
Board member
Education – Logistics. He has more than 10 years of experience in logistics and motorsport. He is a director of the Latvian Automobile Federation, and under his guidance plenty of Latvian and World Auto Racing Tours have been organised, from the ERC stages to the World Rallycross stages. In his youth he used to be a go-kart driver. He is also a Latvian representative of the World Automobile Federation FIA; therefore, he is always informed about the latest news is the world motorsport and is actively participating there.If you say that it’s possible, then let’s go and try it out.
Toms Balodis
3D design and modeling
He is a 3D project manager, and for already more than 6 years has been working with a projection of different solutions and their simulations. He joined the Blue Shock Race team almost from the very beginning and is one of the main pillars of the team. He is always ready to improve his knowledge to achieve faster, bigger and better results.If I had a more powerful computer, I could do more.
Rihards Lībis
Graphic designer
Hi is a graphic designer. He finished an art school and is one of the youngest members of the team, nevertheless, from the very first day he has been showing his professionalism at the highest level. Thanks to his work, the enterprise Blue Shock Race has its look over the last 2 years.I will hand over my work only when it is so good that I can sign under it.
Jānis Lakstīgala
Engineer
When he graduated from the university, he understood that it is not for him. He realised that he enjoys creation, so why not electric go-karts or other related products? Currently, he is our main technical specialist who organises manufacturing of the go-karts. He has great working abilities and is always positive, even when the prospects are negligible.Guys, the nights are meant for doing those things, which we couldn’t do during the daytime.
Ivars Ostapenko
Electronic engineer
He studied electronics and computer control. He has always been the most punctual member of the team. In the electronics nothing can be done somehow or other, it is a fine science, where everything has to be perfect. He always better checks everything 3 times rather than allows to use with an unknown result. Hey, fellows, I understand that you need it fast, but it concerns safety, so try to be patient.